Office of Governor Gary Locke
FOR IMMEDIATE RELEASE - June 16, 2000
Contact:  Governor's Communications Office, 360-902-4136

Department of Licensing sting nets Texas firm abusing state driver records

OLYMPIA - A Texas company is being banned from obtaining Washington drivers' records because a "sting" investigation revealed it was illegally distributing the information to other firms, Gov. Gary Locke announced today.

Insurance Information Exchange (iiX) is one of four service bureaus with access to state driving records. The companies have contracts to get driver information for legitimate public safety purposes authorized by law, such as supplying to insurance companies and trucking companies and other potential employers.

"We will not tolerate the illegal distribution of personal and private information," Locke said. "This termination is the proper response to this abuse, and we are evaluating our options for further legal action."

Locke recently issued an executive order designed to protect the sensitive personal information the state needs for the health and safety of the public.

"I'm a strong believer in the public's right to know, but I'm also concerned about the privacy abuses that occur in the private world in this electronic age," Locke added. "That's why Washington has tough rules designed to protect private information in state computers and paper records from illegal distribution," he said.

Fred Stephens, director of the Department of Licensing (DOL), said, "Washington citizens have entrusted us with their personal information, and we have a responsibility to ensure that the information is protected. This company clearly violated its contractual obligations to prevent misuse, and its access is terminated, effective midnight tonight."

Washington law allows information in driver records to be provided to law enforcement, the courts, alcohol treatment agencies, insurance companies and employers. These companies and agencies normally employ one of four service bureaus, such as iiX, which contract with DOL for access to the records.

The contracts require the service bureaus to get certification from their subscribers that the records will be used only for authorized purposes. The contracts also require the bureaus to warrant they will take all steps necessary to ensure their subscribers use the records properly.

Locke said DOL discovered iiX was distributing driver information illegally after "salting" the driver database with several fictitious records. DOL employees then contacted several Web sites that offered to sell personal information, and requested data for the fictitious names. DOL employees monitored which service bureau obtained the fictitious drivers records.

The sting initiated an audit of iiX, Locke said.

Audits also have begun on the three remaining service bureaus to ensure no privacy abuses are occurring.

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